Link Securities | Iberdrola (IBE) and Scottish Power have sounded out their rivals about a possible deal involving their UK retail business, as the sector faces high consumer debt and rapid growth from Octopus Energy, according to Expansión newspaper. Iberdrola has reportedly spoken to several companies in the sector about a merger with Scottish Power in response to the challenges facing the retail market, according to people familiar with the matter.
The talks, which began earlier this year, excluded Scottish Power’s network and power generation businesses, although no formal agreement process took place and no partner was found, they added. The negotiations included possible solutions that could have led Iberdrola to share control of the business, according to some sources. Scottish Power said it ‘does not comment on market speculation’.
Meanwhile, several agencies reported on Friday that the electricity distributed by Iberdrola worldwide during the first nine months of 2025 (9M2025) reached 188,753 gigawatt hours (GWh), representing an increase of 6%, driven by the business in the United Kingdom – where it grew by 43%, including the contribution of Electricity North West – and Spain (up 3%), according to the energy balance submitted by the company to the CNMV.
